BSOG 3.8 Notification and Dissolution

When the Prudential Regulator has confirmed a transfer (whether voluntary or under direction) it will notify the FCA and the society concerned.

Section 97(8) of the 1986 Act requires the society to notify the Prudential Regulator and the FCA2 of the vesting date, and it must do so no later than 7 days before that date, and, unless a notice is given under subsection (10), subsection (9) provides that the society shall be dissolved on that date. Subsection (10) provides that, if necessary for the purpose of facilitating the disposal of its shares in its successor, the society may include, in the notice of the vesting date, notice of a later date for the dissolution of the society, and it is on this later date that the society is dissolved. A society which gives such a notice must cease to transact any business as from the notified vesting date, except such as may be necessary to dispose of its shares in its successor.

Section 97(7) of the 1986 Act provides that, where a society continues to hold shares in its successor after the vesting date, the consideration for the disposal of those shares, together with any other property, rights or liabilities of the society acquired or incurred after that date, shall be transferred to and vested in the successor company on the date specified for the society's dissolution. All other property, rights and liabilities of the society are to be transferred to the successor company on the vesting date.

The FCA2 will record the relevant date, or dates, notified to the Prudential Regulator and the FCA2 by the society.

The society will be dissolved on the vesting date or on the later date for dissolution referred to in BSOG 3.8.2 G, and its registration will subsequently be cancelled by the FCA12 under the provisions of Section 103(1)(a) of the 1986 Act having consulted the PRA.1